Subprime Rates

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Dictionary Says

Definition of 'Subprime Rates'

Interest rates charged to subprime borrowers, such as on loans to people with poor credit scores from one or more credit bureau. Subprime rates will be higher than prime rates for the same type of loan, although there is no exact amount or spread that constitutes subprime.
Investopedia Says

Investopedia explains 'Subprime Rates'

Factors that affect subprime rates include the size of the loan, the income of the individual, the number of delinquent accounts on the borrower's credit report and the amount of the down payment for a given loan.

Subprime lenders use what is called "risk-based pricing" to determine how much interest to charge on a given loan or class of borrower. This pricing method may change as economic conditions change in the broad financial markets.

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Search results for

'Subprime Rates'

  • Subprime Lending: Helping Hand Or Underhanded?

    http://www.investopedia.com/articles/basics/07/subprime_basics.asp
    ... Subprime Vs. Prime In addition to having higher interest rates than
    prime-rate loans, subprime loans often come with higher fees. ...

  • Who Is To Blame For The Subprime Crisis?

    http://www.investopedia.com/articles/07/subprime-blame.asp
    ... CDOs; by using leverage, a fund could purchase a lot more CDOs and bonds than it
    could with existing capital alone, pushing subprime interest rates lower and ...

  • Subprime Is Often Subpar

    http://www.investopedia.com/articles/pf/07/subprime.asp
    ... Because subprime mortgages carry substantially higher interest rates than similar
    mortgages available in the prime mortgage market, a subprime mortgage ...

  • What is a subprime mortgage?

    http://www.investopedia.com/ask/answers/07/subprime-mortgage.asp
    ... Because subprime borrowers present a higher risk for lenders, subprime mortgages
    charge interest rates above the prime lending rate. ...

  • The Fuel That Fed The Subprime Meltdown

    http://www.investopedia.com/articles/07/subprime-overview.asp
    ... Teaser Rates and the ARM With mortgage lenders exporting much of the risk in subprime
    lending out the door to investors, they were free to come up with ...

  • Subprime: Nightmare Scenario

    http://stocks.investopedia.com/stock-analysis/2007/Subprime_Nightmare_Scenario.aspx
    ... As interest rates increased over the last two years , default rates followed. (To
    learn more, see Subprime Lending: Helping Hand Or Underhanded?) We're not ...

  • How Will The Subprime Mess Impact You?

    http://www.investopedia.com/articles/pf/07/subprime-impact.asp
    ... Credit Markets: Risk Shift Although the effects of the subprime market meltdown
    on interest rates and accessibility to home ownership are significant for ...

  • How Interest Rates Affect The Housing Market

    http://www.investopedia.com/articles/pf/07/mortgage_rate.asp
    ... curve, is often wrong, but an idea of where interest rates are headed is better
    than making a blind decision. (For a one-stop shop on subprime mortgages and ...

  • The 2007-08 Financial Crisis In Review

    http://www.investopedia.com/articles/economics/09/financial-crisis-review.asp?partner=aol-d
    ... Not only were new homes being affected, but many subprime borrowers now could not
    withstand the higher interest rates and they started defaulting on their loans ...

  • An Introduction To LIBOR

    http://www.investopedia.com/articles/economics/09/london-interbank-offered-rate.asp
    ... If you have a subprime mortgage, you need to watch LIBOR rates with a close eye
    as almost $1 trillion in subprime ARMs are indexed to LIBOR. ...

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Bank Rates
Product Today Last Wk
$10K MMA 0.50% 0.51%
MMA 0.45% 0.46%
6 Month CD 0.46% 0.47%
1 Year CD 0.70% 0.75%
5 Year CD 1.46% 1.46%
1 Year Jumbo CD 0.66% 0.67%
Rate data provided by Bankrate
Product Today Last Wk
$30K HELOC 4.59% 4.60%
$30K Home Equity Loan 5.74% 5.77%
$50K Home Equity Loan 5.45% 5.50%
$50K HELOC 4.24% 4.24%
$100K Home Equity Loan 5.41% 5.46%
$100K HELOC 4.13% 4.13%
Rate data provided by Bankrate
Product Today Last Wk
30 Year Fixed 3.80% 3.80%
15 Year Fixed 3.09% 3.11%
1 Year ARM 3.54% 3.53%
30 Year Fixed Jumbo 4.38% 4.38%
5/1 ARM 2.65% 2.69%
3/1 ARM 2.69% 2.69%
Rate data provided by Bankrate
Product Today Last Wk
60 Month Used Car Loan 4.51% 4.51%
48 Month Used Car Loan 4.35% 4.35%
48 Month New Car Loan 3.24% 3.24%
36 Month Used Car Loan 4.34% 4.36%
36 Month New Car Loan 3.11% 3.13%
60 Month New Car Loan 3.35% 3.34%
Rate data provided by Bankrate
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